The Canadian bank BMO Financial Group is committing to a significant purchase of carbon credits. BMO announced on October 26th, 2022, it will obtain carbon credits via an agreement with Halifax-based CarbonCure Technologies – a climate tech company that decarbonizes the concrete industry.
The commitment is for a purchase of carbon credits over five years, representing 5,750 metric tons of CO2 removal and reduction. The credits are expected to be delivered every September from 2022 to 2026.
The agreement makes BMO the first North American bank to purchase credits from CarbonCure and support its full suite of carbon mineralization technologies that deliver permanent storage of CO2 across the concrete manufacturing process.
Part of BMO’s strategy is to buy carbon credits from carbon removal projects that store CO2 for over 100 years. It diversifies its offset portfolio to meet its net zero goals by 2050. The company also bought direct air capture carbon removals and permanent sequestration from Carbon Engineering back in November 2021.
CarbonCure is a company founded in 2007 that reduces CO2 emissions in concrete production. Its technology could be retrofitted into concrete plants and enables concrete producers to inject captured CO2 into fresh concrete during mixing.
Once injected in the concrete mix, the CO2 reacts with it to form a mineral that is permanently embedded. The CO2 mineralization also increases the concrete’s strength, resulting in an economic and truly beneficial win-win solution for the climate and concrete producers.
Back in 2021, CarbonCure’s methodology for calculating carbon credits was verified by Verra, the world’s most widely used voluntary greenhouse gas crediting program. CarbonCure can mostly measure and track the CO2 from the point of capture through to mineralization, which provides credit buyers with precise information related to the deployment date and location of the CO2 they paid to remove.
The company has also an inspirational mission to make concrete a climate solution and reduce embodied carbon in the built environment by 500 million metric tons annually by 2030. Rather than an enormous contributor to emitted greenhouse gases yearly, the company actually transforms concrete into a climate change solution as it can also absorb CO2.